Audit and control

Audits of development cooperation actions financed by the EU must be carried out by professional external auditors. For this purpose, the EU concludes service contracts with external auditors based on INTPA Audit Framework Contract, local/regional framework service contracts or following a call for tender.

Terms of reference for expenditure verifications – Applicable as from publication date

The terms of reference (ToR) for expenditure verifications cover:

• Expenditure verification including verification of actions managed by International Organisations (United Nations, World Bank Group, Other International Organisations)
• Expenditure verification and systems audits

Please use the following templates:

ToR for an expenditure verification – March 2024 (ES, FR, PT)

Annex 1 : Key information - October 2023 (ES, FR, PT - May 2022)

Annex 2 : Guidelines for risk analysis and verification procedures - August 2018 (ES, FR, PT)

Annex 3 : Model for expenditure verification report for use by the Expenditure Verifiers – December 2023 (ES, FR, PT)

Annex 3.3 and 3.4 : Table of transactions and list of errors - August 2019 (ES, FR, PT)

Only for verification missions of UN managed actions:

Common Understanding on the use of the Terms of Reference for Expenditure Verification for Operations implemented by UN-Organisations that are among the Signatory Parties of the EU-UN-FAFA (March 2020)

Terms of reference for systems audits

Systems audits focus on the design and/or operating effectiveness of an entity's internal control system.

Systems audits can be useful before the start of a project, at the early stages of project implementation and sometimes at mid-term. In these cases, system audits can make an impact through the auditor's analysis of the internal control systems and through subsequent recommendations for improvements.

Systems audits must be carried out in accordance with the following models:

For the design of the internal control system

• Terms of reference for a systems audit (design of the Internal Control System) (FR- ES)
• Annex 1 Engagement context - key information for a systems audit (FR - ES)
• Annex 2 Systems audit procedures (FR - ES)
• Annex 3 Systems audit report (FR - ES)

For the design and operating effectiveness of the internal control system

• Terms of reference for a systems audit (design and operating effectiveness of the Internal Control System), EN version - January 2024, (FR - ES)
• Annex 1 Engagement context - key information for a systems audit (FR - ES)
• Annex 2 Systems audit procedures (FR - ES)
• Annex 3 Systems audit report (FR - ES)

They are also to be used together with the ToR for expenditure verifications and for expenditure verifications and system audits.